1. Welfare Reform Bill February 2011
17th February 2012

2. Aims Streamline the system Improve work incentives
Remove barriers to work
Smooth transitions in and out of work
Reduce in-work poverty
Reduce Fraud and Error

3. Universal Credit Jobseekers Allowance (Income Based)
Employment and Support Allowance (Income Related)
Income Support
Child Tax Credits
Working Tax Credits
Housing Benefits

4. When New claims from those out of work from October 2013
New claims from those in work from April 2014
Existing claimants will be transferred over to Universal Credit in a migration exercise starting from October 2013 with completion due by 2017.

5. Housing Element What rent will be covered?
For private tenants the ‘housing element’ in Universal Credit will carry forward Local Housing Allowance provisions.
For council tenants and tenants of Registered Social Landlords ( including Housing Association) the actual rent less any ineligible service charges will be covered initially but……..

6. How will UC be claimed
Main claim service will be on-line via DWP’s secure website, strictly controlled by passwords and ID entry
Some provision for those who cannot use such a facility ( eg call centre, local JCP offices)
Data will be drawn from DWP and HMRC systems for new claims and claim updates
Not yet clear how verification and validation of rents and tenancies will be carried out

7. How will UC be paid Paid directly to claimant using BACS
Paid 4 weekly in arrears to claimant for the household
Safeguards are reluctantly being considered for vulnerable claimants

8. Pensioners?
From October 2014 no new claims for HB, instead housing costs will be included in the assessment and payment of Pension Credit
From October 2014 existing HB/LHA claims will transfer over to Pension Credit in a migration exercise lasting 3 to 4 years

9. Appeals
Introduction of a ‘reconsideration’ before an appeal can be lodged
Introduction of time limits for submissions by decision maker to Tribunal Service
CT Support appeals to Valuation Boards

10. Other changes Social Fund localisation DLA/PIPs
Incapacity Benefit to ESA migration

11. Some potential problems for landlords
Mixture of tenants on HB or UC or PC
Liaison difficulties with DWP
Safeguard uncertainty
Treatment of service charges by DWP?
Temporary Accommodation rates?
Supported (Exempt) Accommodation?
Increase in collection costs
Increase in rent arrears
Impact on SG Homelessness Target 2012

12. What can Social Sector landlords do by way of mitigation?
Training/advice/guidance on reforms for staff?
Promotion of DHP?
Promotion of Digital inclusion?
Financial inclusion support?
Review of Stock Development strategy?
Review of Lettings strategy?
Review of Sub-letting strategy?
Review of Arrears control policy?
Strengthen Welfare Advice?